MicroStrategy third-quarter earnings report: $27.1 million lost; Bank of China Governor: “Digital yuan will offer controllable privacy”; and Crypto.com’s daily trading volume dropped by 91%.
MicroStrategy third-quarter earnings report: $27.1 million lost
Business intelligence firm MicroStrategy posted a $27.1 million loss in its third-quarter earnings reports as it continues to expand its Bitcoin (BTC) portfolio despite poor market conditions.
The world’s largest publicly traded Bitcoin owner announced that it still has 130,000 BTC at the end of the third quarter of 2022. This amount represents 0.62% of all Bitcoin ever owned. MicroStrategy’s 130,000 Bitcoins are worth $4 billion at an average of $30,639 per BTC.
MicroStrategy lost $65 million in the second quarter last year. In the second quarter of 2022, the loss amounted to $917.8 million.
Bank of China Governor: “Digital yuan will offer controllable privacy”
Speaking at Hong Kong Fintech Week, China Central Bank Governor Yi Gang conveyed the developments about the national digital currency called Digital Yuan.
In particular, he noted that the country’s financial authorities would introduce a two-tier payment system that offers users controllable privacy. In the first tier, the central bank will provide digital yuan to authorized operators and only process inter-agency transaction information. In the second tier, authorized operators will only collect users’ personal data necessary for public transactions and roaming services.
In addition, user data will be encrypted and stored, and personal and sensitive information will be kept anonymous and not shared with third parties. Users will be able to trade anonymously up to a certain amount. Special e-wallets will be created to facilitate these transactions.
China launched its first CBDC program in 2014. With the development of the CBDC program over the years, the pilot program was launched in 2019, now covering millions of individual customers across the country. CBDC testing was expanded to include some of China’s most populated cities in 2022. Digital yuan transaction volumes exceeded $14 billion in the third quarter of 2022.
Crypto.com’s daily trading volume dropped by 91%
The daily trading volume of the popular cryptocurrency exchange Crypto.com dropped by 91% from $4 billion to $380 million. Last year, the platform collaborated with famous actor Matt Damon for his Fortune Favors the Brave commercial, which attracted widespread attention and criticism. Despite that, the platform’s trading volume has decreased significantly in 1 year.
Crypto.com’s native token, CRO, with a market cap of $2.8 billion, is currently trading at $0.11. On top of that, the platform spent $700 million to be a sponsor at the Staples Center, a Los Angeles-based sports arena. The platform also had a $495 million sponsorship deal with the UEFA Champions League, but it was canceled.